Power ministry seeks cabinet nod for Power Grid share sale

The company will also issue 601.9 million new shares, or 13 percent of its existing paid-up capital, as part of the follow-on share sale, Power Grid said in a statement to the Bombay Stock Exchange.

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Power ministry seeks cabinet nod for Power Grid share sale

The company will also issue 601.9 million new shares, or 13 percent of its existing paid-up capital, as part of the follow-on share sale, Power Grid said in a statement to the Bombay Stock Exchange.

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State-run Power Grid Corp of Indiasaid on Friday that the ministry of power has sought the federal cabinet's approval for a secondary share sale, which will include the government divesting 4 percent of its stake.

The company will also issue 601.9 million new shares, or 13 percent of its existing paid-up capital, as part of the follow-on share sale, Power Grid said in a statement to the Bombay Stock Exchange.

The government's divestment of a 4 percent stake in the company is part of New Delhi's plan to raise Rs 40000 crore through sale of its shares in state companies in the current fiscal year ending March 2014.

The power ministry has asked Power Grid to appoint banks for the share sale.

Power Grid Corp stock price

On March 31, 2015, Power Grid Corporation of India closed at Rs 145.20, up Rs 0.40, or 0.28 percent. The 52-week high of the share was Rs 159.00 and the 52-week low was Rs 102.00.

The company's trailing 12-month (TTM) EPS was at Rs 9.07 per share as per the quarter ended December 2014. The stock's price-to-earnings (P/E) ratio was 16.01. The latest book value of the company is Rs 65.87 per share. At current value, the price-to-book value of the company is 2.20.